Civil retirees also not left out, to get RM250
Published on: Sunday, October 13, 2019
By: Bernama
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KUALA LUMPUR: There is good news for the 1.6 million civil servants in Budget 2020 for dedicating their career in delivering public service to the rakyat (people). 

Obviously, on their minds is the “bonus” and the Government did not disappoint despite the “hangover” left behind by the previous Barisan Nasional government which has saddled the current Pakatan Harapan administration with huge debts.

Finance Minister Lim Guan Eng, when tabling Budget 2020 in the Dewan Rakyat Friday, announced a special payment of RM500 for civil servants Grade 56 and below.

He said for government retirees, a special payment of RM250 will be paid and this will be extended to non-pensionable veterans. 

All will be paid before end of the year.

In making the announcement, he said: 

“The country records its appreciation to the Malaysian Armed Forces, Royal Malaysia Police, Fire and Rescue Department, Royal Malaysian Customs Department, doctors, nurses, teachers and all civil servants for tirelessly striving to make Malaysia better.” 

He added that as the civil service represents the backbone to the Government, it intended to improve some of the terms of their remuneration.

Firstly, he said the Cost of Living Allowance (Cola) will be increased by RM50 per month beginning 2020 for the support group, with an additional allocation of RM350 million annually,

Secondly, civil servants will be allowed early redemption of Accumulated Leave (Gantian Cuti Rehat) for up to 75 days as replacement pay, for those who have at least 15 years of service.

And thirdly, the Public Sector Home Financing Board (LPPSA) will offer free personal accident insurance (up to RM100,000 coverage) for two years to new Government housing loan borrowers.

To help relieve the burden of dependants to civil servants who have died in service, Lim said the Government will improve the current benefits namely by introducing an Ex-Gratia Death Benefit of up to RM150,000 payable to dependants of the deceased; and the Annual Salary Movement (PGT) will be brought forward (for civil servants who have died in service) before the Salary Movement Date (TPG) .

Meanwhile, Lim said the People’s Volunteer Corps or Rela will enjoy higher allowance of RM2 per hour beginning from January 1, 2020, resulting in an additional allocation of RM26 million.

Lim also took the opportunity to personally thank all personnel of the Fire and Rescue Department for answering emergency calls from all over the country day and night.

“In recognition of their service who received the grace of Kebawah Duli Yang Maha Mulia Seri Paduka Yang Di Pertuan Agong, all personnel will receive a special allowance of RM200 a month, amounting to RM35 million. This will benefit 14,400 personnel of the Fire and Rescue Department of Malaysia,” he said.

In addition, he said the Government valued the sacrifice and heroism of the armed forces, particularly holders of the Pingat Jasa Malaysia and hence, the Government will accord a one-off payment of RM500 to the 70,000 holders of the Pingat Jasa Malaysia, with an allocation of RM35 million.

In line with the Repair, Replace, and Restore (3R) philosophy, the Government will allocate RM330 million to the Property and Land Management Division under the Prime Minister’s Department to repair and maintain the public service quarters. In addition, RM150 million and RM250 million is allocated for the repair and refurbishment of Malaysian Armed Forces family housing units (RKAT)  and Royal Malaysia Police quarters respectively


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